ims response to vermont cert petition dec 10

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    No. 10-779

    IN THE

    WILLIAM H.SORRELL ET AL.,

    Petitioners,

    v.

    IMSHEALTH INC. ET AL.,

    Respondents.

    On Petition for a Writ of Certiorari

    to the United States Court of Appeals

    for the Second Circuit

    BRIEF OF RESPONDENTS

    IMS HEALTH INC., VERISPAN, LLC, AND

    SOURCE HEALTHCARE ANALYTICS, INC.

    Thomas R. JulinJamie Z. IsaniPatricia AcostaHUNTON &WILLIAMS LLP1111 Brickell AvenueSuite 2500Miami, FL 33131

    Mark A. AshMCGUIRE WOODS LLP2600Two Hanover SquareRaleigh, NC 27601

    Thomas C. GoldsteinCounsel of Record

    Kevin R. AmerAKIN GUMP STRAUSS

    HAUER &FELD LLP1333 New HampshireAvenue, N.W.

    Washington, DC 20036(202) [email protected]

    Robert B. Hemley

    Matthew B. ByrneGRAVEL AND SHEA

    76 St. Paul Street, 7th Fl.

    Burlington, VT 05402

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    QUESTION PRESENTED

    Does the First Amendment allow the government

    to freely permit the publication and use of

    prescription-history information, but ban the use of

    the identical information to promote prescription

    drugs, in order to correct a supposed imbalance in

    the marketplace for ideas, Vt. Acts No. 80, 1(4),

    1(6) (2007)?

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    ii

    PARTIES TO THE PROCEEDINGPetitioners are William H. Sorrell, as Attorney

    General of the State of Vermont; Jim Douglas, as

    Governor of the State of Vermont; and Robert

    Hofmann, as Secretary of the Agency of Human

    Services of the State of Vermont.

    Respondents are IMS Health Inc., Verispan,

    LLC, and Source Healthcare Analytics, Inc.

    Pharmaceutical Research and Manufacturers of

    America was a plaintiff-appellant below and is

    expected to appear separately as a respondent in this

    Court.

    RULE 29.6 DISCLOSURES

    IMS Health Incorporated is wholly owned by

    Healthcare Technology Intermediate Holdings, Inc.,

    which is wholly owned by Healthcare Technology

    Intermediate, Inc., which is wholly owned by

    Healthcare Technology Holdings, Inc. Verispan LLC

    was succeeded by merger by SDI Health LLC. SDIHealth LLC is wholly owned by SDI Health Holdings

    LLC. Source Healthcare Analytics, Inc. is wholly

    owned by Wolters Kluwer Health, Inc., which is

    wholly owned by Wolters Kluwer N.V. No publicly

    held company owns 10 percent or more of the stock of

    any of these parties.

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    iii

    TABLE OF CONTENTSQUESTION PRESENTED ........................................... i

    PARTIES TO THE PROCEEDING ............................ ii

    RULE 29.6 DISCLOSURES ........................................ ii

    TABLE OF CONTENTS ............................................ iii

    TABLE OF AUTHORITIES ....................................... iv

    STATEMENT OF THE CASE..................................... 1

    ARGUMENT .............................................................. 10

    I. The Second Circuit Correctly Concluded

    That Vermonts Prescription Information

    Law Violates the First Amendment. .......... 11

    A. Vermonts Prescription Information

    Law Is a Restriction of Protected

    Speech. .................................................. 12

    B. Vermonts Restriction on the

    Transfer and Use of Prescriber

    Information Does Not Advance a

    Legitimate State Interest..................... 21C. Vermonts Law Is Not Narrowly

    Tailored. ................................................ 24

    II. Certiorari Is Nonetheless Warranted

    Because the Ruling Below Directly

    Conflicts with the Settled Precedent of

    the First Circuit. .......................................... 27

    III. This Case Is An Ideal Vehicle to Decide

    the Question Presented, Which Is

    Profoundly Important. ................................ 31

    CONCLUSION .......................................................... 35

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    iv

    TABLE OF AUTHORITIES

    Page(s)

    CASES

    44 Liquormart, Inc. v. Rhode Island,

    517 U.S. 484 (1996) ............................................. 15

    Board of Trustees of State University of New

    York v. Fox,

    492 U.S. 469 (1989) ............................................. 12

    Buckley v. Valeo,

    424 U.S. 1 (1976) ................................................. 22

    City of Cincinnati v. Discovery Network, Inc.,

    507 U.S. 410 (1993) ............................................. 12

    Edenfield v. Fane,

    507 U.S. 761 (1993) ....................................... 15, 22

    Fed. Election Commn v. Massachusetts

    Citizens for Life, Inc.,479 U.S. 238 (1986) ............................................. 22

    Greater New Orleans Broad. Assn v. United

    States,

    527 U.S. 173 (1999) ............................................. 24

    IMS Health Corp. v. Rowe,

    532 F. Supp. 2d 153 (D. Me. 2007) ...................... 19

    IMS Health Inc. v. Ayotte,

    490 F. Supp. 2d 163 (D.N.H. 2007) ..................... 19

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    v

    IMS Health Inc. v. Ayotte,550 F.3d 42 (1st Cir. 2008) ...........................passim

    IMS Health Inc. v. Mills,

    616 F.3d 7 (1st Cir. 2010) ...........................8, 28, 29

    LAPD v. United Reporting Publishing Corp.,

    528 U.S. 32 (1999) ............................................... 20

    Lorillard Tobacco Co. v. Reilly,

    533 U.S. 525 (2001) ....................................... 15, 16

    Lowe v. SEC,

    472 U.S. 181 (1985) ............................................. 13

    McConnell v. Fed. Election Commn,

    540 U.S. 93 (2003) ............................................... 22

    Minneapolis Star & Tribune Co. v. Minnesota

    Commr of Revenue,

    460 U.S. 575 (1983) ............................................. 16

    Riley v. Natl Fedn of the Blind of N.C., Inc.,

    487 U.S. 781 (1988) ............................................. 12

    Rubin v. Coors Brewing Co.,

    514 U.S. 476 (1995) ............................................. 15

    Seattle Times Co. v. Rhinehart,

    467 U.S. 20 (1984) ............................................... 18

    Thompson v. Western States Medical Center,

    535 U.S. 357 (2002) ....................................... 15, 21

    United States v. Stevens,130 S. Ct. 1577 (2010) ......................................... 29

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    vi

    Virginia State Board of Pharmacy v. VirginiaConsumer Council, Inc.,

    425 U.S. 748 (1976) ............................................. 13

    STATUTES

    15 U.S.C. 6802 ......................................................... 17

    21 U.S.C. 332-337 ................................................ 4, 5

    42 U.S.C. 1320d-6 ................................................... 17

    47 U.S.C. 551(c)(1) .................................................. 17

    Cal. Fin. Code 4052.5 .............................................. 18

    D.C. Code 48-831.04 ................................................ 26

    Fla. Stat. Ann. 465.025 ........................................... 26

    Me. Rev. Stat. Ann. Title 22 1711-E(2-A) ........ 28, 32Me. Rev. Stat. Ann. Title 22 2697 .......................... 26Me. Rev. Stat. Ann. Title 22 2700-A ...................... 26

    Minn. Stat. 151.461 ................................................ 26

    N.H. Rev. Stat. Ann. 126-A:5, XVII .........................5N.H. Rev. Stat. Ann. 318:47-d ................................ 26N.H. Rev. Stat. Ann. 318:47-f ........................... 27, 31

    Vt. Stat. Ann. Title 18 4622 .................................... 23

    Vt. Stat. Ann. Title 18 4622(a)(1) .............................5

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    vii

    Vt. Stat. Ann. Title 18 4631 ............................passim

    Vt. Stat. Ann. Title 18 4631(d) ............................. 5, 6Vt. Stat. Ann. Title 18 4631(e) ..................................6Vt. Stat. Ann. Title 18 4631(e)(1) ........................... 23Vt. Stat. Ann. Title 33 2005a .................................. 26

    W. Va. Code Ann. 5-16C-9 ...................................... 26W. Va. Code Ann. 5-16C-9(a)(5) ............................ 5, 6

    REGULATIONS

    21 C.F.R. 202.1(e)(5) .................................................421 C.F.R. 202.1(e)(6) .................................................4

    45 C.F.R. pt. 160 .................................................... 3, 19

    45 C.F.R. pt. 164 .................................................... 3, 19

    OTHERAUTHORITIES

    American Medical Association,PDRP: The

    Choice Is Yours .......................................................4

    Ashlee Vance,Data Analysts Are Mesmerized

    by the Power of Program R, N.Y. Times, Jan.

    7, 2009 ................................................................... 33

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    Amendment because the government cannot seek toinhibit truthful speech, obviously including speech

    about important issues such as the efficacy of

    prescription drugs. The court of appeals

    acknowledged that its decision squarely conflicts with

    the precedent of the First Circuit, which has upheld

    similar statutes enacted by New Hampshire and

    Maine.

    1. Information relating to pharmaceutical

    prescriptions has long been widely distributed and

    used for numerous purposes. For example,

    researchers use the information to identify overuse

    of a pharmaceutical in specific populations, to

    develop new drugs, and to facilitate identification of

    potential patients to participate in clinical trials.

    Pet. App. 7a. The government employs the data to

    monitor usage of controlled substances and to

    identify prescribers who need time-sensitive safety

    information. Id. Pharmaceutical companies use the

    same information to track disease progression, to aid

    law enforcement, to implement risk-mitigation

    programs, and to conduct clinical trials and post-marketing surveillance required by the United States

    Food and Drug Administration (FDA). Id. 6a.

    Prescription-history information is also used to

    influence the sales of prescription drugs. It is

    regularly employed to encourage the use of cheaper,

    generic medications. Id. 7a. Specifically, insurance

    companies and state governments use [the] data to

    identify prescribers who make heavy use of brand-

    name drugs for which there are generic alternatives.

    Id. Insurance companies, in particular, use theinformation to manage formulary compliance

    programs that require use of generic substitutes. Id.

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    Conversely, brand-name pharmaceuticalcompanies use prescription-history information to

    promote their drugs. The companies employ the data

    to identify audiences for their marketing efforts, and

    to focus marketing messages for individual

    prescribers. Id. 6a. These marketing

    communications often in the form of in-person

    detailing visits go well beyond merely providing

    pricing information. The companies instead direct

    scientific and safety messages to physicians most in

    need of that information, id., including the use, side

    effects, and risks of drug interactions, id. Thisinformation is essential to prescribers, who must be

    aware of the most current data related to

    medications, including potential side effects and drug

    interactions. For example, a drug company might

    use prescription-history information to identify the

    principal physicians in a region who treat certain

    cardiological ailments in order to provide them with

    information on the benefits of specific medications

    designed to improve heart health. Alternatively, the

    company may become aware of adverse side-effects of

    certain medications and need to identify the

    prescribers who are most in need of that safety

    information. In turn, through detailing, the

    companies learn from prescribers experiences with

    various treatments and use that information to

    improve their therapies. C.A. App. A 196 (Wharton).

    2. Some states are hostile to pharmaceutical

    detailing. Their concern is not patient privacy.

    Federal and state law require that pharmacy

    companies remove all patient-identifying information

    before transferring prescription-history information.

    See C.A. App. A 221 (Tierney); see generally 45 C.F.R.

    pts. 160 & 164.

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    Nor is there a significant concern that detailingintrudes on physicians practices. [P]rescribers are

    free to decline meetings with detailers. Pet. App. 6a.

    Further, an American Medical Association (AMA)

    program permits prescribers to restrict

    pharmaceutical sales representatives use of

    information about their prescribing practices. See

    generally American Medical Association, PDRP: The

    Choice Is Yours, available at http://www.ama-

    assn.org/ama1/pub/upload/mm/432/pdrp_brochure.pd

    f (last visited Dec. 15, 2010).

    Similarly, [t]here is no allegation that the

    commercial speech regulated by [these laws] is either

    misleading or related to an unlawful activity. Pet.

    App. 21a. The federal government prohibits any drug

    promotion that is false, misleading, or that lacks a

    fair balance between information relating to side

    effects and contra-indications and information

    relating to effectiveness. 21 C.F.R. 202.1(e)(5)-(6).

    See generally 21 U.S.C. 332-337. The Food and

    Drug Administration has unparalleled enforcement

    power under the statute, including injunctive andcriminal remedies. C.A. App. A 139, A 143 (Hutt).

    Instead, opponents of detailing object to the

    success of the messages conveyed by drug companies.

    They maintain that promotion of brand-name drugs

    increases the cost of health care and, in some

    instances, leads to the use of therapies that are later

    determined to present health risks.

    States subscribing to that view have not sought

    to prohibit detailing itself. Instead, they have

    adopted two less-direct regulatory responses.

    First, states have developed counter detailing

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    programs, under which the government itself usesprescription-history data to identify and contact

    prescribers to persuade them to choose less-expensive

    (often, generic) medications. For example, Vermont

    has adopted an evidence-based prescription drug

    education program to utilize one-on-one

    communications between the States representatives

    and health care providers to encourage the

    prescription of less expensive generic drugs. Vt. Stat.

    Ann. tit. 18, 4622(a)(1). Among other functions, the

    program notif[ies] prescribers about commonly used

    brand-name drugs for which the patent has expiredwithin the last 12 months or will expire within the

    next 12 months. Id. 4622(a)(2). See also, e.g., N.H.

    Rev. Stat. Ann. 126-A:5, XVII; W. Va. Code 5-16C-

    9(a)(5).

    Second, some states have sought to inhibit

    detailing by generally prohibiting the transfer of

    prescription-history information for use in drug

    marketing, as well as marketing on the basis of that

    information. Vermonts statute is illustrative. It

    provides:

    A health insurer, a self-insured employer, an

    electronic transmission intermediary, a

    pharmacy, or other similar entity shall not sell,

    license or exchange for value regulated records

    containing prescriber-identifiable information,

    nor permit the use of regulated records

    containing prescriber-identifiable information for

    marketing or promoting a prescription drug,

    unless the prescriber consents as provided in

    subsection (c) of this section. Vt. Stat. Ann. tit. 18, 4631(d). Further,

    [p]harmaceutical manufacturers and pharmaceutical

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    marketers shall not use prescriber-identifiableinformation for marketing or promoting a

    prescription drug, absent the prescribers consent.

    Id.

    By its terms, the statute authorizes the use of

    prescription-history information for any purpose

    other than marketing, including specifically

    pharmacy reimbursement; prescription drug

    formulary compliance; patient care management;

    utilization review by a health care professional, the

    patients health insurer, or the agent of either; . . .

    health care research; transmissions between

    licensed pharmacies; and care management

    educational communications. Id. 4631(e). Indeed,

    recipients are perfectly free to publish the

    information publicly.

    The Vermont state legislature specified the

    statutes purpose in a series of findings. The

    legislature expressed concern that the marketplace

    for ideas on medicine safety and effectiveness is

    frequently one-sided in favor of drug companies. Vt.

    Acts No. 80, 1(4) (2007). Believing that the

    companies interests are often in conflict with the

    goals of the state, id. 1(3), the legislature acted to

    correct what it viewed as a massive imbalance in

    information presented to doctors and other

    prescribers, id. 1(6).

    3. The Vermont statute gave rise to this lawsuit

    filed by respondents against petitioners.

    Respondents do not now challenge the States

    counter-detailing program. Instead, they maintain

    that the statutory provision permitting thedistribution and use of prescription-history

    information except for use in marketing violates the

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    First Amendment.Respondents IMS Health, Verispan, and Source

    Healthcare Analytics (collectively, the Publisher

    Respondents) are among the worlds largest

    publishers of information, research, and analysis for

    the health care and pharmaceutical industries. As is

    relevant here, the Publisher Respondents collect and

    analyze prescription-history information. The

    reports prepared by the Publisher Respondents are

    used for the many diverse purposes discussed above.

    Respondent Pharmaceutical Research andManufacturers of America (PhRMA) is a trade

    association representing brand-name pharmaceutical

    companies. The Publisher Respondents produce

    reports identifying, inter alia, the physicians who

    regularly treat particular conditions or prescribe

    specific prescription medications, as well as those

    who have shown themselves to be most willing to

    consider adopting new therapies. PhRMAs members

    use those reports in their detailing efforts.

    The district court held a five-day bench trial,during which the parties developed an extensive

    factual record. Following the trial, the district court

    issued an opinion and order upholding the laws

    constitutionality. Pet. App. 68a-118a. Concluding

    that Section 4631 is properly understood as a

    regulation of commercial speech, the court held that

    the law survives intermediate constitutional scrutiny.

    Pet. App. 69a.

    4. On respondents appeal, the Second Circuit

    reversed. In so holding, the court expressly rejected

    the precedent of the First Circuit, which previously

    upheld similar New Hampshire and Maine statutes.

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    IMS Health Inc. v. Mills, 616 F.3d 7 (1st Cir. 2010);IMS Health Inc. v. Ayotte, 550 F.3d 42 (1st Cir. 2008),

    cert. denied, 129 S. Ct. 2864 (2009).

    Preliminarily, the court of appeals held that

    Section 4631 is a restriction on speech, not merely a

    limitation on access to information. The court of

    appeals reasoned that prescription-history

    information is within the category of constitutionally

    protected speech, which extends to [e]ven dry

    information, devoid of advocacy, political relevance,

    or artistic expression. Id. 14a (citation omitted).

    The court reasoned that the statute cannot be

    analogized to measures that protect individual

    privacy for two reasons. It freely permits the

    distribution of prescription-history information for

    numerous purposes. Also, the avowed purpose of the

    statute is to inhibit speech: detailing visits by

    pharmaceutical companies. Id. 16a-17a.

    The Second Circuit held that the Vermont statute

    is invalid under even the lower intermediate

    scrutiny that applies to regulations of commercial

    speech. Pet. App. 20a. Vermonts asserted interest

    in medical privacy, the court found, is too

    speculative to qualify as a substantial state interest

    because Vermont had not shown that detailing has

    any effect on the integrity of the prescribing process

    or the trust patients have in their doctors. Id. 23a.

    Further, the statute does not directly advance

    Vermonts interests in protecting public health and

    reducing health care costs because it seeks to alter

    prescribers behavior through the indirect route of

    hampering detailers marketing messages. Thatapproach, the court concluded is too indirect to

    survive intermediate scrutiny. Pet. App. 28a.

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    Noting that Vermonts avowed purpose inrestricting pharmaceutical detailing is to make the

    debate over prescription drugs less one-sided, the

    Second Circuit held that under the First Amendment

    Vermont is not free to put [its] thumb on the scales

    of the marketplace of ideas in order to influence

    conduct. Id. 25a. See also id. 28a ([T]he statute

    restricts protected speech when uttered for purposes

    the government does not approve of in order to

    reduce the effectiveness of marketing campaigns and,

    ultimately, alter the behavior of prescribers, who are

    not regulated by the statute.).

    Finally, the court of appeals held that Vermont

    failed to demonstrate that its interests could not be

    as well served by a more limited restriction on

    speech. The statute applies to all brand name

    prescription drugs, irrespective, for example, of

    whether there is a generic alternative or whether an

    individual drug is effective or ineffective. Id. 29a.

    At the same time, there are alternative, less speech-

    restrictive means, such as counter-detailing

    programs, available to Vermont that are moredirectly targeted at encouraging the use of generic

    drugs the state wishes to promote. Id. 33a.

    Judge Livingston dissented. She would have

    construed Section 4631 not as a speech restriction

    but instead as a permissible restraint on publishers

    and pharmaceutical companies right of access to

    prescription information in the possession of

    pharmacies. In her view, the publication of

    prescription-history information does not sufficiently

    advance[] the values served by the FirstAmendment to constitute protected speech. Id. 45a-

    46a. In the alternative, Judge Livingstone would

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    have upheld the statute as a permissible regulationof commercial speech. Id. 50a.

    The State of Vermont subsequently sought

    certiorari.

    ARGUMENT

    The Second Circuit correctly concluded that

    Vermonts general prohibition on the publication and

    use of prescription-history information to market

    brand-name drugs violates the First Amendment.

    Section 4631 restricts speech by limiting the

    Publisher Respondents publication of reports on

    prescribing practices. The State also directly bans

    certain marketing communications, and does so with

    the avowed purpose of shielding prescribers from

    entirely truthful and non-misleading information and

    messages. The government simply disagrees with

    the informed choices physicians would make on the

    basis of that information.

    There is no merit to petitioners attempt to recast

    Section 4631 as merely a regulation of access to

    information. The statute is obviously not intended tocontrol the distribution of information in order to

    preserve privacy, as it freely permits the distribution

    and use of prescription-history information for any

    person and for any purpose other than marketing.

    The First Amendment does not permit the State

    to adopt such a paternalistic regime, particularly in

    the absence of evidence that the statute is necessary

    and effective to further an important governmental

    interest. The constitutional infirmity in the Vermont

    scheme is significantly compounded by the fact thatthe State engages in viewpoint discrimination, as it

    permits both the government and insurers to use the

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    identical prescriber-history information in order toconvey a message of discouraging the use of brand-

    name drugs.

    Though the Second Circuits constitutional

    analysis was correct, petitioners are correct that this

    Courts review is warranted. The court of appeals

    properly recognized that its decision conflicts with

    the precedent of the First Circuit, which has upheld

    similar measures enacted by New Hampshire and

    Maine.

    Review is also warranted because this case, inwhich the parties compiled an extensive evidentiary

    record and the court of appeals has entered a final

    judgment invalidating the statute, is an ideal vehicle

    in which to decide the question presented and to

    resolve the circuit conflict.

    Finally, the importance of the question presented

    is beyond dispute. Pharmaceutical marketing has a

    significant impact on the public health. Further, the

    governments power to ban the collection,

    aggregation, and distribution of truthful informationis a recurring question with great significance for

    virtually any commercial endeavor involving the

    analysis and publication of factual information.

    Certiorari accordingly should be granted.

    I. The Second Circuit Correctly Concluded

    That Vermonts Prescription Information

    Law Violates The First Amendment.

    The Second Circuit properly concluded that

    Section 4631 is an unconstitutional restraint on

    speech, and not, as Vermont argues, merely a control

    on access to information. Under a uniform line of

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    this Courts precedents, the transmission of truthfulfactual information is protected speech under the

    First Amendment.1

    A. Vermonts Prescription Information

    Law Is A Restriction Of Protected

    Speech.

    1. Section 4631 restricts respondents

    constitutionally protected speech in multiple

    respects. The statute presumptively bans every link

    in the chain of the communication of prescription-

    history information for marketing purposes: thecommunication between pharmacies and the

    Publisher Respondents, as well as the subsequent

    communication of reports analyzing that data

    between the Publisher Respondents and

    1 While Section 4631 cannot satisfy even intermediate

    scrutiny, respondents adhere to their position that the statute

    should be subject to strict scrutiny because the speech it

    prohibits is not merely commercial speech. InBoard of Trustees

    of State University of New York v. Fox, 492 U.S. 469, 473-74

    (1989), and City of Cincinnati v. Discovery Network, Inc., 507U.S. 410, 422 (1993), this Court held that the category of

    commercial speech receiving lessened First Amendment

    protection is limited to statements that propose a commercial

    transaction. Because respondents speech goes well beyond

    proposing a commercial sale, it falls outside that narrow

    category.

    Although the pharmaceutical companies are marketing

    their products, Section 4631 is subject to strict scrutiny because

    that commercial message is inextricably intertwined with

    otherwise fully protected speech information regarding the

    drugs merits. Riley v. Natl Fedn of the Blind of N.C., Inc. , 487

    U.S. 781, 796 (1988). For that reason, this case would provide

    the Court with the opportunity to revisit the broader questionwhether commercial speech should remain subject to lessened

    First Amendment protection, or should instead be treated as

    fully protected speech.

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    pharmaceutical companies.Data miners do not themselves use [prescriber-

    identifiable] data in their own marketing efforts.

    Pet. App. 20a. Rather, the exchanges of information

    prohibited by Vermont constitute speech protected by

    the First Amendment. On Vermonts contrary view

    that prescription-history information is merely data

    unprotected by the First Amendment, the State is

    free to prohibit the Wall Street Journal from

    publishing stock prices.

    The Second Circuit properly concluded that aprohibition on the distribution of factual information

    is subject to First Amendment scrutiny. In Virginia

    State Board of Pharmacy v. Virginia Consumer

    Council, Inc., 425 U.S. 748 (1976), the Court held

    that a ban on the advertising of prescription drug

    prices violates the First Amendment. The Court

    expressly rejected the states claim that the First

    Amendment is inapplicable because the advertising

    merely reports a fact: Purely factual matters of

    public interest may claim [First Amendment]

    protection, id. at 762, because it is indispensable to

    the public interest that there be a free flow of

    information as to who is producing and selling what

    product, for what reason, and at what price, id. at

    765. Cf. Lowe v. SEC, 472 U.S. 181, 210 (1985) ([t]o

    the extent that the chart service contains factual

    information about past transactions and market

    trends, and the newsletters contain commentary on

    general market conditions, there can be no doubt

    about the protected character of the

    communications).Further, the Vermont statute also bans

    pharmaceutical companies from engaging in

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    opportunity to discuss with each other how we treatpatients. A 196 (Wharton).

    In Edenfield v. Fane, 507 U.S. 761 (1993), the

    Court invalidated a ban on solicitation by certified

    public accountants because it threaten[ed] societal

    interests in broad access to complete and accurate

    commercial information. Id. at 766. [T]he general

    rule is that the speaker and the audience, not the

    government, assess the value of the information

    presented. Id. at 767. More recently, in Thompson

    v. Western States Medical Center, 535 U.S. 357

    (2002), the Court held that the government may not

    prohibit pharmacists from advertising the

    availability of compounded drugs. We have

    previously rejected the notion that the Government

    has an interest in preventing the dissemination of

    truthful commercial information in order to prevent

    members of the public from making bad decisions

    with the information. Id. at 374. See, e.g., Lorillard

    Tobacco Co. v. Reilly, 533 U.S. 525, 564 (2001); 44

    Liquormart, Inc. v. Rhode Island, 517 U.S. 484, 489

    (1996); Rubin v. Coors Brewing Co., 514 U.S. 476,481-82 (1995).

    It is no answer to assert that Vermonts law is

    targeted at the collection and use of prescription-

    history information, and does not ban the

    conversations between detailers and physicians. This

    Court has repeatedly held that the First Amendment

    forbids both direct and indirect restraints on the

    activities that are necessary to the communication

    and sharing of information the mechanics of

    speaking. In Lorillard, supra, for example, the Courtgave no quarter to the claim that a regulation on the

    placement of cigarette advertising merely regulated

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    conduct, explaining that the First Amendment istriggered whenever regulation of conduct would

    impose particularly onerous burdens on speech. 533

    U.S. at 564. That decision simply echoed this Courts

    repeated holdings that legislation regulating or

    proscribing the actions necessary to engage in

    communication triggers First Amendment scrutiny.

    E.g., Minneapolis Star & Tribune Co. v. Minnesota

    Commr of Revenue, 460 U.S. 575, 577, 592-93 (1983)

    (First Amendment applies to use tax on the cost of

    paper and ink products consumed in the production

    of a publication).

    2. For two reasons, there is no merit to

    petitioners attempt (Pet. 18) to recast Section 4631

    as merely a restriction on access to information.

    First, the very purpose of the statute is to inhibit

    speech, not to protect privacy or otherwise neutrally

    protect the confidentiality of prescription-history

    information. Petitioners are thus unwilling to

    grapple with or indeed, even mention the

    legislatures express intention to alter the

    marketplace for ideas on medicine safety andeffectiveness. Vt. Acts No. 80, 1(6). The findings

    expressly state the legislatures intent to interfere

    with the marketplace of ideas to promote the

    interests of the state. Pet. App. 12. Indeed, thewhole point of section 17 is to control detailerscommercial message to prescribers. Pet. App. 82a.

    Second, the statute is not an effort by the

    government to control the flow of information to

    protect privacy. Because Vermont does not prohibit

    the wide public dissemination of [prescriber-identifiable (PI)] data, the statute plainly does not

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    protect physician privacy. Pet. App. 22a. As thecourt of appeals explained,

    Physician privacy might be protected if the

    statute prohibited the collection and aggregation

    of PI data for any purpose, or if the use of such

    data were permitted only in rare and compelling

    circumstances. The statute at issue here,

    however, does not forbid the collection of PI data

    in the first instance. Furthermore, the statute

    does not ban any use of the data other than for

    marketing purposes, including widespread

    publication to the general public.

    Id.

    For both of those reasons, the States analogy to

    the attorney-client privilege, and restrictions on the

    disclosure of information by [i]nsurance companies,

    financial institutes, and even utility companies (Pet.

    18-19) is deeply flawed, as is its invocation of statutes

    involving information held by, for example, financial

    institutions, educational records, and health care

    information (id. 32). Unlike Vermonts law, thoselegal principles and statutes rest on a neutral

    interest in preserving confidentiality, rather than

    restricting speech. Further, each makes the

    prohibition on disclosure the rule, not the exception

    tied to a particular category of speech. See, e.g., 15

    U.S.C. 6802 (providing right to opt out of financial

    institutions disclosure of nonpublic personal

    information to a nonaffiliated third party) (emphasis

    added); 42 U.S.C. 1320d-6 (prohibiting the

    disclosure of individually identifiable health

    information to another person without authorization)(emphasis added); 47 U.S.C. 551(c)(1) (cable

    operator shall take such actions as are necessary to

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    prevent unauthorized access to such information by a person other than the subscriber or cable operator)

    (emphasis added); Cal. Fin. Code 4052.5 (a

    financial institution shall not sell, share, transfer, or

    otherwise disclose nonpublic personal information to

    or with any nonaffiliated third parties without

    consent) (emphasis added). Vermont thus errs in

    contending that the ruling below calls into question

    the constitutionality of numerous federal and state

    laws that protect information privacy (Pet. 1) or

    otherwise conflicts with decisions upholding the

    constitutionality of privacy protections (id. 16).

    For the same reason, the State fails in its

    attempted analogy to Seattle Times Co. v. Rhinehart,

    467 U.S. 20, 32 (1984), which forbade the

    dissemination of information obtained by [a]

    newspaper through pretrial discovery, where the trial

    court had entered a protective order (Pet. 19). The

    information in Seattle Times was provided under

    governmental compulsion a court order. It was

    moreover kept private between the parties in order to

    maintain privacy rather than inhibit speech. Section4631, by contrast, freely permits the distribution of

    prescription-history information for purposes other

    than marketing.

    Equally important, the analogy to privacy laws

    fails because, contrary to the States suggestion (Pet.

    i), the data collected and analyzed by the Publisher

    Respondents does not contain information about

    patients. The States claim that the data reveals

    substantial information about the doctor-patient

    relationship including the treatment of individualpatients (Pet. 4-5) is false, to the extent that

    Vermont hopes to suggest that respondents are in

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    possession of any patient-identifying information. Infact, the Publisher Respondents never receive such

    information, because pharmacy companies are

    required to remove it before transferring the

    prescription data. See 45 C.F.R. pts. 160 & 164; C.A.

    App. A 221 (Tierney). Thus, as the district courts

    and Judge Lipez recognized in the New Hampshire

    and Maine cases, statutes of this type do nothing to

    advance patient privacy. IMS Health Inc. v. Ayotte,

    550 F.3d 42, 85 (1st Cir. 2008) (Lipez, J., concurring

    and dissenting) ([T]he regulation does not in any

    cognizable way touch on the privacy of theexamination room.); IMS Health Corp. v. Rowe, 532

    F. Supp. 2d 153, 173 (D. Me. 2007) (Regardless of

    the opt-out provisions of the new law, personal

    patient information has been and will continue to be

    encrypted and there is no evidence that the current

    practices of the [Publisher Respondents] and the

    pharmaceutical companies have had or realistically

    could have any effect on patient confidentiality.);

    IMS Health Inc. v. Ayotte, 490 F. Supp. 2d 163, 179

    (D.N.H. 2007) ([A]lthough the Attorney General

    asserts that prescriber-identifiable data is used to

    intrude upon the doctor-patient relationship, she

    does not claim that the data is being exploited to

    compromise patient privacy.).

    Nor is there merit to the States further

    submission (Pet. 2) that Section 4631 escapes First

    Amendment scrutiny because [n]either doctors nor

    patients voluntarily provide information to

    pharmacies but rather are required to provide

    information to receive necessary health care

    services. In fact, prescribers enter into relationshipswith their patients, and patients visit pharmacies,

    none of which is compelled by the government. The

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    pharmacies in turn collect prescription information inthe ordinary course of their business, and they

    indisputably would continue to do so in the absence of

    any governmental record-keeping requirement.

    There is accordingly no merit to the States claim

    (Pet. 31) that the First Circuit effectively conferred

    upon respondents a constitutional right to receive

    information. In fact, respondents have not claimed a

    First Amendment right to obtain information. They

    challenge the restriction on their ability to purchase

    and use information otherwise available to them but

    for the States restriction. The statute prevents

    willing sellers and willing buyers from completing a

    sale of information to be used for purposes that the

    state disapproves. Pet. App. 16.

    Thus, in this case, and unlike in LAPD v. United

    Reporting Publishing Corp., 528 U.S. 32 (1999), the

    information is not in the governments possession.

    Rather, the State seeks to limit the acquisition and

    use of information in the hands of pharmacies, data

    miners, and pharmaceutical companies. This is a

    case about the extent of the permissible

    governmental regulation of information in the hands

    of private actors. Pet. App. 17a. Contra Pet. 18-19.

    Nor, finally, is Vermonts case materially

    advanced by the fact that the statute permits

    individual prescribers to formally advise the State

    that they opt in to the use of their prescription-

    history information in marketing. That requirement

    presents a significant obstacle to respondents speech.

    A state could not, absent a significant interest,

    ordinarily require every audience to notify thegovernment in advance that it wants to receive

    particular speech. Instead, the ordinary rule is that

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    the audience can simply make the choice whether tolisten. In this context, every prescriber can choose

    whether to receive detailing visits. Moreover, the

    American Medical Association permits prescribers to

    specify that their prescription-history information not

    be used in marketing; the State has made no showing

    that this non-governmental program is inadequate.

    B. Vermonts Restriction On The Transfer

    And Use Of Prescriber Information Does

    Not Advance A Legitimate State

    Interest.

    Vermont does not make a serious attempt to

    argue that its statutory scheme can survive First

    Amendment scrutiny. The legislatures openly stated

    rationale for enacting Section 4631 is its desire to

    correct what it perceives as a massive imbalance in

    information within the marketplace for ideas on

    medicine safety and effectiveness. Vt. Acts No. 80,

    1(4), 1(6). Thus, as the Second Circuit properly

    recognized, the statute seeks to alter the

    marketplace of ideas by taking out some truthful

    information that the state thinks could be used too

    effectively. Pet. App. 26a. Vermont is, quite

    literally, attempting to make it more difficult for drug

    companies and physicians to have an intelligent

    conversation. This Court has specifically rejected the

    assumption that doctors would prescribe

    unnecessary medications on the basis of drug

    advertising, because it amounts to a fear that people

    would make bad decisions if given truthful

    information. Western States, 535 U.S. at 359.

    Beyond that, Vermonts effort to protectprescribers from truthful messages during voluntary

    conversations with detailers does not advance any

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    legitimate state interest. Indeed, if the governmenthas no cognizable interest in prohibiting

    professionals such as accountants from soliciting lay

    persons (Edenfield v. Fane, supra), then it manifestly

    has no such interest in the context of pharmaceutical

    companies discussions with highly trained

    prescribers regarding the merits of particular drugs.

    See Brief for Coalition for Healthcare Communication

    as Amicus Curiae Supporting Petitioners at 16,

    Ayotte, 129 S. Ct. 2864 (08-1202) (A paternalistic

    desire to have consumers, let alone industry

    professionals, make different market choices amonggoods and services is not the type of interest that can

    sustain a restriction on truthful and non-misleading

    commercial speech.). That is all the more true given

    that physicians can and regularly do simply

    decline to meet with a drug company representative.

    Thus, in practice, Vermonts law bars only truthful

    communications between drug companies and

    knowledgeable and willing prescribers desirous of the

    information.

    Likewise, Vermonts avowed desire to correct theimbalance in information created by drug

    companies financial wherewithal directly parallels

    the premise repeatedly rejected by this Court that

    the government may limit individual expenditures in

    political campaigns. Under the First Amendment,

    the government may not inhibit speech just because

    it considers its influence to be economically outsized.

    McConnell v. Fed. Election Commn, 540 U.S. 93, 217-

    18 (2003); Fed. Election Commn v. Massachusetts

    Citizens for Life, Inc., 479 U.S. 238, 263 (1986);

    Buckley v. Valeo, 424 U.S. 1, 39-51 (1976).

    The disconnect between Section 4631 and

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    Vermonts legitimate interests is particularlyapparent given the lack of evidence of the need for

    such legislation or its effectiveness. Before the

    Second Circuit, Vermont sought to justify the statute

    on the ground that it advanced a state interest in

    medical privacy, which, the court noted, is actually

    two distinct interests. The first is an interest in the

    integrity of the prescribing process itself, and the

    second is an interest in preserving patients trust in

    their doctors by preventing patients from believing

    that their physicians are inappropriately influenced

    by . . . data-driven marketing. Pet. App. 23a. Thecourt correctly found no evidence suggesting that

    Section 4631 advanced those interests. Vermonts

    own expert was unaware of any instance in which a

    detailing interaction caused a doctor to prescribe an

    inappropriate medication. Id. And, [t]o the extent

    that the record might suggest that [prescriber-

    identifiable] data has damaged the relationship

    between doctors and patients, the evidence is either

    speculative or merely indicates that some doctors

    might not approve of detailing or the use of

    [prescriber-identifiable] data in detailing. Id.

    Furthermore, even if Vermonts asserted

    interests were legitimate, Section 4631 would still

    fail First Amendment scrutiny because it

    discriminates on the basis of the speakers viewpoint.

    The statute bars the dissemination of prescription

    information for the purpose of advocating the use of

    brand-name drugs. At the same time, however, the

    State has adopted its own counter detailing

    program, which uses prescription-history data to

    discourage brand-name drug use and promote the useof generics. Vt. Stat. Ann. tit. 18, 4622. Vermont

    also permits insurance companies to use the same

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    data to promote formulary compliance. Id. 4631(e)(1). Those companies routinely use

    prescription-history information to locate prescribers

    and encourage them to prescribe generics over brand-

    name medications. C.A. App. A 188 (Kolassa)

    ([I]nsurance companies are using physician-

    identifiable information to call physicians to try to

    get them to comply with . . . formularies, [to] try to

    get them to change their prescribing in a way that

    may or may not be in the patients best interests.).

    If the First Amendment means anything, it

    means that the government cannot so significantly

    disfavor the one side in a debate that it disfavors.

    Vermonts statute creates a bias in the democratic

    process designed to achieve the states desired result,

    which is exactly the opposite of what the First

    Amendment is intended to do. Brief for Pacific

    Legal Foundation et al. asAmicus Curiae Supporting

    Petitioners at 15, Ayotte, 129 S. Ct. 2864 (08-1202).

    Even under the degree of scrutiny that we haveapplied in commercial speech cases, decisions that

    select among speakers conveying virtually identicalmessages are in serious tension with the principlesundergirding the First Amendment. Greater NewOrleans Broad. Assn v. United States, 527 U.S. 173,

    193-94 (1999).

    C. Vermonts Law Is Not Narrowly

    Tailored.

    The Second Circuit also correctly held that

    Section 4631 fails under Central Hudsons narrow

    tailoring prong. Vermonts statute bears no

    reasonable fit in relation to the States assertedinterests, see Greater New Orleans, 527 U.S. at 188

    (1999), but in fact is grossly overinclusive.

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    Far from confining its focus to detailing thatdrives up health care costs, Section 4631 applies to

    detailing that either does not implicate or actually

    furthers the States interests. The statute is not

    limited to restricting those instances of detailing that

    cause prescribers to make inappropriate prescribing

    decisions. The States broad-brush assertion that

    [n]ew drugs are also riskier, because their use,

    risks, and side effects are not yet fully understood

    (Pet. 9) is unsupported by the record and contrary to

    the experience of modern health care. The statute

    moreover equally applies when the detailingidentifies a less expensive alternative medication and

    when it conveys valuable information about drug

    treatments that improve public health, which is itself

    a significant state interest. See Pet. App. 30a (The

    statute prohibits the transmission or use of

    [prescriber-identifiable] data for marketing purposes

    for all prescription drugs regardless of any problem

    with the drug or whether there is a generic

    alternative.). In such instances, the statute inhibits

    speech without furthering and often while

    undermining Vermonts own claimed interests.

    The Second Circuit also properly recognized that

    Vermont had failed to meet its burden of showing

    that its interests could not be as well served by a less

    speech-restrictive alternative. One such option is

    the States counter-detailing program, which is

    designed to encourage doctors to prescribe generic

    drugs. Alternatively, Vermont could mandate the

    use of generic drugs as a first course of treatment,

    absent a physicians determination otherwise, for all

    those patients receiving Medicare Part D funds. Id.30a-31a. The State also could look to the array of

    cost-containment measures in effect in other states

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    that do not restrict speech, many of which Vermonthas not adopted.2

    The statute is equally under-inclusive. Vermont

    objects to the effectiveness of detailing visits, but

    those communications are not prohibited so long as

    they are not conducted on the basis of prescription-

    history information. A drug company thus remains

    free to promote expensive therapies for which generic

    substitutes exist, or for which safety issues have been

    raised.

    In sum, the Second Circuit properly concludedthat Section 4631 violates the First Amendment,

    even under the intermediate scrutiny applicable to

    regulations of commercial speech.

    II. Certiorari Is Nonetheless Warranted

    Because the Ruling Below Directly Conflicts

    With The Settled Precedent Of The First

    Circuit.

    The Second Circuit recognized that its decision is

    irreconcilable with the precedent of the First Circuit,

    2See, e.g., D.C. Code 48-831.04 (2006) (requiring use of

    aggregate purchasing to negotiate lower prices of prescriber

    drugs); Fla. Stat. Ann. 465.025 (2006) (requiring pharmacists

    to substitute generic drugs for bioequivalent brand-name

    drugs); N.H. Rev. Stat. Ann. 318:47-d (2003) (authorizing

    pharmacists to substitute bioequivalent generic drugs); Me. Rev.

    Stat. Ann. tit. 22, 2697 (2006) (prohibiting profiteering in

    prescription drugs); Me. Rev. Stat. Ann. tit. 22, 2700-A (2006)

    (providing for consumer education about prescription drugs);

    Minn. Stat. 151.461 (1994) (prohibiting gifts from drug

    manufacturers to health care practitioners); Vt. Stat. Ann. tit.

    33, 2005a (2006) (requiring sales representatives to discloseprices to prescribers); W. Va. Code Ann. 5-16C-9 (2006)

    (setting forth a variety of strategies to reduce unnecessary

    prescription drug costs).

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    which has upheld similar statutes on the theory thatprescription-history information merits little, if any,

    First Amendment protection. That conflict on an

    important question of federal constitutional law is

    entrenched and can be resolved only by this Court.

    1. The Second Circuit in this case expressly

    rejected the contrary precedent of the First Circuit.

    The Second Circuit concluded that Vermonts statute

    must be subject to significant constitutional scrutiny

    because it is . . . clearly aimed at influencing the

    supply of information, a core First Amendment

    concern. Pet. App. 16a. The Second Circuit also

    rejected Vermonts reliance on the First Circuits

    conclusion that a State could permission pursue an

    interest in altering the imbalance in information

    available to prescribers by put[ting] the states

    thumb on the scales of the marketplace of ideas. Id.

    25a.

    Like Vermonts Section 4631, the New

    Hampshire statute sustained by the First Circuit in

    Ayotte prohibited the transfer or use of prescription

    data for the purpose of any activity that could be

    used to influence sales or market share of a

    pharmaceutical product. N.H. Rev. Stat. 318:47-f.

    While the Ayotte court acknowledged that the

    dissemination of factual information has been held

    protected by the First Amendment, it deemed that

    principle inapplicable in a situation in which

    information itself has become a commodity. Ayotte,

    550 F.3d at 53. In that circumstance, the First

    Circuit concluded, the transfer of information is

    entitled to no greater First Amendment protectionthan a shipment of, say, beef jerky. Id.

    On the basis of Ayotte, the First Circuit

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    subsequently upheld Maines similar prescriptioninformation law. IMS Health Inc. v. Mills, 616 F.3d

    7, 19 (1st Cir. 2010). The Maine statute provides

    that pharmacies, data publishers, and others may not

    use or sell prescriber-identifiable information for

    any marketing purpose if a prescriber so elects. Me.

    Rev. Stat. Ann. tit. 22, 1711-E(2-A).

    In conflict with the Second Circuits decision in

    this case, the First Circuit held in Ayotte that New

    Hampshire was free to level the playing field in the

    debate over the benefits of brand-name medications

    by limiting drug companies access to information,

    and thereby improve the quality of the discussions

    between detailers and physicians. 550 F.3d at 48, 54.

    The Second Circuit also conducted a

    substantially more searching assessment of whether

    the State had a factual basis for adopting its

    prescription restraint law. Looking to the record

    developed at trial, the court of appeals in this case

    found that Vermont has not shown any effect on the

    integrity of the prescribing process or the trust

    patients have in their doctors from the use of

    [prescriber-identifiable] data in marketing. Pet.

    App. 23a. Although the State presented some

    testimony at trial that sought to show that less

    speech-restrictive alternatives would not sufficiently

    advance its asserted interests, the court found that

    the testimony fell far short of demonstrating that

    the alternatives would be inadequate. Id. 33a.

    Further, the court noted that although the statute

    bars the use of prescriber data to market any brand-

    name prescription drug, the State provided noevidence about whether particular brand-name

    medications are more or less effective than their

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    generic counterparts. Thus, [e]ven if the Courtdefers to the legislatures determinations, those

    determinations cannot support banning speech in

    circumstances that the states evidence does not

    address. Id. 30a.

    In stark contrast, the First Circuit held that New

    Hampshires parallel statute sufficiently advanced

    the States asserted interests, notwithstanding that

    there was no direct evidence on the statutes effect

    on health care costs. Ayotte, 550 F.3d at 57. Despite

    those deficiencies, the First Circuit concluded that

    this is more a matter of policy than of prediction, id.

    at 58, so that the appropriate course was to defer to

    the New Hampshire legislature, id. at 59. In the

    First Circuits view, [a] state need not go beyond the

    demands of common sense to show that a statute

    promises directly to advance an identified

    governmental interest. Id. at 55. The First Circuit

    deems intermediate scrutiny to be satisfied when a

    state relies on common sense to show that a statute

    promises to advance such interests. Id. at 55.

    The First Circuit denied applications for

    rehearing en banc in both Ayotte and Mills. The

    court of appeals ruling in Mills moreover eliminated

    any prospect that the court might revisit its prior

    precedent in light of this Courts intervening decision

    in United States v. Stevens, 130 S. Ct. 1577 (2010).

    Mills squarely reject[ed] the contention that

    Stevens undermines Ayottes holding. Mills, 616

    F.3d at 20. While acknowledging that Ayotte did

    suggest that any speech regulated was of such

    minimal value that it likely fell outside of First Amendment protections, the First Circuit believed

    that statement was consistent with Stevens because

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    it was in service ofAyottes holding that the NewHampshire statute regulated conduct, not speech, an

    argument not at issue in Stevens. Id.

    Nor is there any prospect that the Second Circuit

    will resolve the conflict through en banc proceedings.

    That court has a nearly inviolate practice of reserving

    en banc review to intra-circuit conflicts. See

    generally Jon O. Newman, In Banc Practice in the

    Second Circuit: The Virtues of Restraint, 50 Brook. L.

    Rev. 365 (1984). The State of Vermont accordingly

    made the sound judgment to seek review directly in

    this Court. Equally important, because no other

    state in the Second Circuit has adopted a similar

    statutory scheme, the court of appeals will never

    again have the opportunity to decide the question

    presented.

    The current state of the law is particularly

    intolerable given that the Publisher Respondents are

    the plaintiffs in all three of the federal appellate

    rulings that make up the circuit conflict over the

    constitutionality of prescription-restraint statutes.

    The Publisher Respondents now face irreconcilable

    legal obligations, on the basis of conflicting

    interpretations of the First Amendment, depending

    entirely on the particular state to which specific data

    happens to relate.

    Further, the conflict has significant practical

    consequences, as it materially and unjustifiably

    interferes with respondents daily operations. The

    Publisher Respondents operate data centers that

    collect, aggregate, and publish information on a

    national and international basis. Differentiatingamong states to account for the inconsistent legal

    regimes that now exist requires a significant

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    expenditure of resources. Equally important, theforced exclusion of data relating to certain states in

    analyses of nationwide prescribing behavior creates

    material administrative difficulties and threatens the

    accuracy of the data respondents publish.

    III. This Case Is An Ideal Vehicle To Decide The

    Question Presented, Which Is Profoundly

    Important.

    Certiorari is further warranted because the

    record in this case makes it an ideal vehicle in which

    to resolve the constitutional question it presents.The district court conducted a five-day bench trial,

    during which the parties presented extensive

    documentary and testimonial evidence regarding the

    operation of statutory schemes like the one at issue.

    See Pet. App. 78a (The parties presented testimony

    from numerous witnesses and introduced reams of

    exhibits, including the entire legislative history of Act

    80.). Particularly in a case in which a statutory

    scheme rests on supposed effects of pharmaceutical

    marketing upon prescribing behavior, it is essential

    that the Court have the benefit of a concrete factual

    record.

    Review in this case is also proper because the

    Vermont statutory scheme is representative of the

    other legislative efforts to restrict the use of

    prescriber information for marketing purposes.

    Section 4631 operates in substantially the same

    manner as the prescriber data laws in New

    Hampshire and Maine, both of which prohibit the

    transfer and use of such information for marketing

    purposes. See N.H. Rev. Stat. 318:47-f (prescriber-identifiable information shall not be licensed,

    transferred, used, or sold by any pharmacy benefits

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    manager, insurance company, electronictransmission intermediary, retail, mail order, or

    Internet pharmacy or other similar entity, for any

    commercial purpose); Me. Rev. Stat. Ann. tit. 22,

    1711-E(2-A) (a carrier, pharmacy or prescription

    drug information intermediary may not license, use,

    sell, transfer or exchange for value prescriber

    information for any marketing purpose). Accord

    Pet. 26 (The same concerns that led Vermont, New

    Hampshire, and Maine to enact restrictions on the

    commercial use of prescriber-identifiable data have

    prompted state legislators across the country toconsider similar measures.). Thus, this case gives

    the Court an ideal opportunity to provide guidance on

    the constitutional issues common to all of these

    statutory schemes, similar versions of which have

    been introduced for consideration in the legislatures

    of more than half the states.

    Finally, this case presents issues of surpassing

    importance. The record demonstrates that

    pharmaceutical marketing provides substantial

    public health benefits. Detailing directly contributesto prescribers awareness of new treatment options,

    and in turn helps to educate pharmaceutical

    companies about prescribers experiences with

    particular medications. That interchange of

    information facilitates the adoption of vital new

    treatments for a wide range of medical conditions,

    and in turn immeasurably benefits the health and

    well being of the Nation. The efforts of Vermont and

    other States to interfere with that process trigger

    public health concerns of the highest order. See C.A.

    App. A 284 (Frankel) (Vermonts law will slow thedissemination of new drugs and . . . people will die);

    Brief for Council of American Survey Research Orgs.

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    et al. as Amici Curiae Supporting Petitioners at 2,Ayotte, 129 S. Ct. 2864 (08-1202) (prescriber

    information restrictions threaten legitimate

    pharmaceutical survey research by eliminating a

    valuable information and data resource.).

    Moreover, the implications of Vermonts

    constitutional position extend far beyond drug

    marketing. The evaluation and publication of factual

    information is one of the top ten emerging fields in

    todays technological world. Tal J. Zarsky, Mine

    Your Own Business!: Making the Case for the

    Implications of the Data Mining of Personal

    Information in the Forum of Public Opinion, 5 Yale J.

    L. & Tech. 4 (2003). This speech has entered a

    golden age, whether being used to set ad prices, find

    new drugs more quickly or fine-tune financial

    models. Ashlee Vance, Data Analysts Are

    Mesmerized by the Power of Program R, N.Y. Times,

    Jan. 7, 2009, at B6. In the information-based

    economy of the twenty-first century, the

    accumulation, analysis, and distribution of various

    forms of data is an activity of vital importance to abroad and growing range of commercial enterprises.

    See Brief for New England Legal Foundation et al. as

    Amici Curiae Supporting Petitioners at 22, Ayotte,

    129 S. Ct. 2864 (08-1202) (In our information age,

    sales and other voluntary transfers of data by and

    between businesses are fundamental to the efficient

    operation of the free enterprise system and often

    serve, as in this instance, societal needs as well as

    the interests of individual businesses.). The

    proposition that such communications are wholly

    devoid of constitutional protection, such that theymay be prohibited wholesale any time the

    government disagrees with choices made by

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    consumers of that information, raises far-reachingconstitutional concerns that warrant this Courts

    prompt attention and guidance.

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    CONCLUSIONFor the foregoing reasons, the petition for a writ

    of certiorari should be granted.

    Respectfully submitted,

    Thomas R. Julin

    Jamie Z. Isani

    Patricia Acosta

    HUNTON &WILLIAMS LLP

    1111 Brickell AvenueSuite 2500

    Miami, FL 33131

    Mark A. Ash

    MCGUIRE WOODS LLP

    2600Two Hanover

    Square

    Raleigh, NC 27601

    Thomas C. GoldsteinCounsel of Record

    Kevin R. AmerAKIN GUMP STRAUSS HAUER&FELD LLP1333 New Hampshire

    Avenue, N.W.Washington, DC 20036(202) 887-4000

    [email protected]

    Robert B. Hemley

    Matthew B. Byrne

    GRAVEL AND SHEA

    76 St. Paul Street, 7th Fl.

    Burlington, VT 05402

    December 15, 2010